BoE Considers Limits on Stablecoin Payments as Parliament Debates New Crypto Rules

The new rules will look to regulate stablecoins like commercial bank money, “including the requirement that the coins should be redeemable from the stablecoin arrangement, in fiat money, at par value and on demand,” Cunliffe said. Stablecoins, however, will not receive protection against failure in the same way that commercial bank deposits do. The Financial Services Compensation Scheme (FSCS) provides deposit insurance of up to 85,000 pounds (US$105,059) for bank customers.